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Added to YB: 2024-10-17

Pitch date: 2024-10-15

VLN.TO [bullish]

Velan Inc.

+77.91%

current return

Author Info

everyonehatespoetry is an equities analyst sharing his best special situations / GARP ideas, mostly small and micro caps. Sign up for the newsletter.

Company Info

Velan Inc. designs, manufactures, and markets industrial valves worldwide. The company offers quarter-turn valves; gate, globe, and check valves; API 600 cast steel gate, globe, and check valves; corrosion-resistant steel gate, globe, and check valves; API 602 small forged gate, globe, and check valves; API 6D/API 6A through conduit and double expanding gate valves; large forged pressure seal and bolted bonnet gate, globe, and check valves; y-pattern valves; Proquip dual-plate check valves; API 6D/API 6A non slam and swing check valves; quarter-turn valves; resilient-seated ball valves; Securaseal metal-seated ball valves; Coker ball valves; API 6D/API 6A pipeline ball valves; modular double block and bleed ball valves; Torqseal triple-offset butterfly valves; and other products.

Market Cap

CAD 230.9M

Pitch Price

CAD 10.29

Price Target

51.00 (+179%)

Dividend

2.70%

EV/EBITDA

6.89

P/E

-4.89

EV/Sales

0.63

Sector

Machinery

Category

turnaround

Show full summary:
Velan Inc. - $VLN.TO

VLN.TO: Nuclear valve leader, 86% global reactor share. New CEO improving margins (5.5% Q2 EBITDA). Backlog $548M, bookings +63% YoY. Nuclear cycle inflecting, rare pure-play. 3x EBITDA, 10-12% normalized margins. Takeover potential (101 prior bidders). Upside to $51 (425%) at 8x EBITDA. Risks: unions, asbestos, French block.

Read full article (10 min)